Use the Following Information to Answer the Question(s)below

question 30

Multiple Choice

Use the following information to answer the question(s) below.
Taggart Transcontinental pays no dividends,but spent $4 billion on share repurchases last year.Taggart's equity cost of capital is 13% and the amount spent on repurchases is expected to grow by 5% per year.Taggart currently has 2 billion shares outstanding.
-Taggart's stock price is closest to:

• A)$12.50.
• B)$15.40.
• C)$20.00.
• D)$25.00.

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Definitions:

Appellant

The party who appeals a decision made by a lower court, seeking review and reversal of that decision by a higher court.

Writ Of Execution

A court order authorizing the enforcement of a judgment, often by seizing and selling the debtor's property.

Court's Decree

An official order issued by a court that decides the outcome of a legal case.

Petitioner

An individual or entity that formally presents a request or application to a court or authoritative body for a legal judgment or action.